SECOND QUARTER 2009 - MARKET UPDATE

Dear Friend,

Please check out a recent article in the Fairfield County Business Journal about CAIM, LLC http://catherineaveryinvest.com/051109_AVERY.pdf

Happy Summer to You All!

It looks like summer has finally arrived here in the Northeast. The good weather brings an improved mood - to people and to the stock market!

We have recovered nicely from those March lows and most earnings are currently coming in better than expected. Is the worst over? No one really knows for sure. I can tell you that most economists are looking for an end to the recession in the 4th quarter of 2009. In fact, according to First Call estimates (a company that compiles earnings statistics from various analysts all over Wall St.), we should see a positive comparisonin earnings in the aforementioned 4th quarter versus the 4th quarter of 2008 ($16.80 vs. $12.42)

What does this mean for your portfolio you might ask? CAIM currently believes that the market has reached a short-term top and can possibly correct (or go down) in the near term. We are concerned that we get one more move to the upside in the market, and then move sideways within a trading range for a long period of time due to a jobless recovery and a lack of consumer spending.

At CAIM we are slowly moving into the market on periods of weakness (remember it's always a good idea to buy low!) and continue to favor large cap dividend paying companies with strong balance sheets.

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See you in two weeks with more updates and news!

This information is copyrighted July 2009

For those of you with questions, feel free to call me at 203.966.2712. Also please visit my website at www.catherineaveryinvest.com

Please pass along this newsletter to friends and family to spread the word!

Warm regards,